Indian IT brand Infosys has witnessed quite a few changes in the last few months, especially in its top level management. And welcoming a few more changes, the firm is now gearing up to kick-start its share buyback offer.
The programme starts on November 30 and closes on December 14 and during the period the firm will buy back 11.3 crore equity shares of a face value of Rs 5. However, Infosys will now shell out Rs 13,000 crore as it buys the shares at a value of Rs. 1,150 each.
"Buyback of 11,30,43,478 equity shares of Rs. 5 each at a price of Rs. 1,150 per share under the tender offer route opens on November 30 and closes on December 14," the Bengaluru-based IT firm said in a regulatory filing on the BSE, according to IANS.
"The company has received the approval of the regulator (Securities and Exchange Board of India) on Thursday on the buyback and the offer letters will be dispatched to the shareholders by November 23."
Meanwhile, it is not just external shareholders who will be selling back their shares. The programme will also see the participation of some of its founders as most of the 19 promoters are set to sell their shares. Co-founder N R Narayana Murthy and recently appointed non-executive chairman Nandan Nilekani have also said that they will sell their shares.
The year 2017 has been quite rough for the firm and it has seen the exit of quite a few high-level executives. However, Murthy, just a few days ago said that things have now settled at the firm and "all is well" under the chairmanship of Nandan Nilekani.
Nilekani took charge as the non-executive chairman of Infosys after its first non-founder CEO Vishal Sikka quit on August 18 citing "criticism from the co-founders over strategy and compensation."
The IT giant is now looking to hire a new CEO. While CEO of Conduent Ashok Vemuri's name did the rounds for a while, on November 8 Vemuri clarified that he had no plans to join Infosys. Speaking to investors of the firm, Vemuri said that he plans to build the company for the next few years and revealed that he had no plans to leave.
He clarified that he had not discussed the matter with the Bengaluru-based IT giant and doesn't intend to. With this, he has put a lot of speculations regarding his move to rest. It was earlier reported that global executive search firm Egon Zehnder had been given the responsibility of finding a new CEO for Infosys and the recruiter had its sights set on Vemuri.